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Abstract
The primary objective of this study is to examine the effect of farm size on economic efficiency
among wheat producers and to suggest ways to improve wheat production in the country.
Specifically, the study attempts to estimate the levels of technical, allocative and economic
efficiencies among the sampled 130 large and small scale wheat producers in Nakuru District. The
social-economic factors that influence economic efficiency in wheat production have also been
determined.
Results indicate that the mean technical, allocative and economic efficiency indices of small-scale
wheat farmers are 85%, 96% and 84%, respectively. The corresponding figures for the large-scale
farmers are 91%, 94% and 88%, respectively. The number of years of school a farmer has had in
formal education, distance to extension advice and the size of the farm have strong influence on
the efficiency levels. The relatively high levels of technical efficiency among the small scale
farmers defy the notion that wheat can only be efficiently produced by the large scale farmers.